UP Apartment Act - Your Rights and Responsibilities

When an act is passed in the interest of people, do they always get its benefits? One of the notable stories answering the question is that of the UP Apartment Act, 2010. The act was passed during the BSP Government and was meant to protect property buyers from the malpractices of the builders. But some of the developers were not complying with the rules notified by the act and some wanted to include certain clauses in the agreement that would authorize them to incorporate changes in the projects without the buyers consent.

One of the major cases was the Supertech Limited case, wherein the builder violated the Floor Area Ratio (FAR) rule. FAR is fixed in advance by the competent authorities. Supertech was initially permitted to build 24 floors in its Emerald Court project, but later on, with an intention to maximize the returns, it sought permission from the authority to build 40 floors without taking consent of the apartment owners. This led to a surge of fury among the members of the Resident Welfare Association (RWA).

The Supertech Limited case was put up in Allahabad High Court and the court ordered the demolishing of the 40 storeyed Emerald Court Tower.

Such cases of irregularities keep popping up in the Indian real estate market every now and then. And in this trap, the burden of loss is heaviest on the buyers’ shoulders. Laws have been made but what requires attention is the strict implementation of these rules and regulations. So, it is your duty to know your rights as well as responsibilities.

Builder’s Responsibilities:

The act requires the builders to disclose all relevant information to property buyers. It mandates them to disclose the original map showing the property layout plan as approved by the authority. The builder has to cite a likely date for the delivery of the project and also the procedure and penalty in case of delay. Other information that has to be disclosed by the builder to the buyer includes land titles, type of fixtures and appliances used in the building, ownership details and remedies in case of flaws.

Buyer’s Responsibilities:

The UP Apartment Act puts pressure on the buyers too. It requires the buyers to pay the installments on time and imposes penalties in case of its non-payment. The buyers are also required to form an owners’ association to monitor regular activities related to the project. The builder will have to take the consent of all members of the association before modifying the layout or making other alterations.

Buyers stand to lose a lot when it comes to such irregular operations. So it is entirely in your hands whether you are going to make yourself a target of such irregularities or are you going to stand for your rights. Know the rules and regulations and be an intelligent customer.

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